Food price inflation hits new record high

Grocery price inflation has reached a record 17.1% – adding a potential £811 to annual shopping bills, new figures show.

Data analytics firm Kantar says inflation in February marked a full year since monthly grocery inflation rose beyond four per cent – as consumers named it as their second most important issue behind energy costs.

Cost-of-living pressures failed to dent enthusiasm for Valentine's Day, with sales of steak up by a quarter in the seven days to February 14, sparkling wine sales doubling and shoppers spending an extra £5 mon chocolates.

Fraser McKevitt, head of retail and consumer insight at Kantar, said: "Shoppers have been facing sustained price rises for some time now and February marks a full year since monthly grocery inflation climbed above four per cent. This is having a big impact on people's lives.

"Our latest research shows that grocery price inflation is the second most important financial issue for the public behind energy costs, with two thirds of people concerned by food and drink prices, above issues like public sector strikes and climate change.

"Onequartersay they're struggling financially, versus one in five this time last year. The numbers speak for themselves."

The data shows Aldi's market share reached a record 9.4% and it remains the fastest growing grocer, with sales up by 26.7%.

It was closely followed by Lidl, which increased sales by 25.4% and achieved a market share of 7.1%.

Frozen food specialist Iceland increased its market share to 2.4%, up from 2.3% last year.